P&G uses a decentralized organizational structure with Market Development Organizations and Global Business Units to pursue their marketing strategy globally and locally. They focus on total customer orientation, permanent innovation through open source R&D, and diversifying their business portfolio. P&G's position is that their BOP segment is not a priority target, as they aim to sell premium products at higher prices than competitors to maximize profits for reinvestment in advertising and R&D. Their vision combines opportunity, innovation, brand equity, and profits.

1. Procter& Gamble
MBA France/India
Strategic Marketing Management
Dr Christophe Benavent-Université Paris Ouest
Dr Mh Abbo Groupe ESC Pau
Abhinav Dachepally
Martin Fronty
Eshita Kapoor
Carole Pepe 03-21-2011

2. Intro
all over the world
Part I
How P&G uses its organizational structure to pursue their
strategy in term of marketing management?
Part II
What is P&G position about Base Of Pyramid-BOP-
Segment?

3. PEOPLE WORK FOR P&G
AROUND THE WORLD
180
COUNTRIES
50/300
LEADERSHIP BRANDS IN UNDERSTANDING
CONSUMERS ANNUALLY
P&G does not pretend to sell product,
They want to s olve c u s t o m e r s ' p r o b l e m

4. How P&G uses its
organizational structure to
pursuetheir strategy in
term of marketing
management?
Part I

5. P&G Our model
Structure
1
2
3
4
5
Marketing Management

6. Our model
P&G Organizational Branch
The Power is delegated to GBUs and MDOs in parallel
Market Global
Development Business
Organizations A system of arbitration is set up to Units
solve conflicts
MDO of
MDO of MDO of Beauty & Household Health &
Western
ASEAN … Grooming Care Well-being
Europe
Local/National Markets
Market Strategy Brand Management
Customer development Business strategy and Planning
External relations New business development
Recruiting Full profit responsibility

7. How P&G acts globally and Acts locally
www.PG.com/2007report/

8. 1 A total customer orientation
The consumer is at the top of the decision process
P&G
Exploration
Cooperation

9. 2 A permanent Innovation
They have New approach of RnD
oPen Source RnD / e-RnD
Connect and Development Program
P&G
External
Researcher
Government labs Consumer Ex:Swiffer Dusters
Retailers
Venture
capital Suppliers
Joint P&G
Development Research Institutes
partner
Individuals Alliances
Partners Virtual Network

10. 3 A diversification of Business Portfolio
A marketing choice to be sure to offer consumer Global
by Business
appropriate product Units




11. 4 An Internal/External Communication rethought
Co-marketing program
Centralization
of
brand
manager
Stealth Marketing Sitcom

12. 5 Societal involvement
Responsibility + Opportunity

13. Example of a Smart Mass Marketing
Kid complishment thanks to


Brand Concept: 

Positioning: 


14. Example of a Smart Mass Marketing
Segment:
Price and Place: €
Range of Products:
Communication:

15. What is P&G position
about Base Of Pyramid-BOP-
Segment?
Part II

16. The premium price policy:
BOP are not targeted
The product they sell as to be
Than Competitors
N°1
The more you sell at
higher price
The more you are
profitable
So they can spend
money in
advertisement and RnD
The double market: Advertising market
Issue to consumer market

17. Vision-Mission-Action
Added Value
Fight on the Market
Commitment
Opportunity Innovation Brand Equity Make money

18. Conclude